RAK Ceramics (ADX: RAKCEC) – Bullish RSI Divergence
RAKCEC signals a critical bullish RSI divergence exactly at the Wave (4) low and Demand Zone, significantly strengthening the bullish reversal scenario.
RSI Divergence Insight
Price made a lower low at Wave (4)
RSI made a higher low, forming classic bullish divergence
RSI also bounced from oversold territory and crossed signal lines upward
This adds momentum confirmation to the Wave (5)
Trade Setup
📌 Entry: 2.48 (within Daily Demand Zone)
🛑 Stop Loss: 2.44 (beneath DZ)
🎯 Take Profit: 2.68 (just before major Supply Zone)
📊 Risk/Reward Ratio: ~4.5:1 — still very favorable
⚙️ Risk & Trade Management
💸 Risk only 1–3% of your capital
🔒 Move SL to break even once RR = 1:1 (approx 2.52–2.53)
🎯 Scale out:
50% at 2.60
Let the rest run into 2.68 zone
Watch for RSI topping in overbought zones above 70 later — potential signal for Wave (5) exhaustion
“The market is a device for transferring money from the impatient to the patient.” – Warren Buffett
⚠️ Disclaimer: This is not investment advice. Always conduct your own analysis or consult with a financial advisor. Trading carries risk.
